Natalia Realty

Natalia Realty, Inc. and Estate Developer and Investors Corp vs DAR GR No 103302 Facts: Natalia is the owner of 3 contiguous parcels parcels of land with an area of 120.9793 hectares, 1.3205 hectares and 2.7080 hectares or a total of 125.0078 hectares, which are covered by TCT No. 31527. Presidential Proclamation Proclamation No. 1637 set aside 20,312 hectares of land as townsite areas to absorb the population overspill in the metropolis which were designated as the Lungsod Silangan Townsite. The Natalia properties are situated within the areas proclaimed as townsite reservation. Since private landowners were allowed to develop their properties into low-cost housing subdivisions subdivisions with the reservation, petitioner EDIC as developer of Natalia applied for and was granted preliminary approval and location clearances by the Human Settlements Regulatory Commission, which Natalia thereafter became Antipolo Hills Subdivision. Subdivision. On June 15 1988, Ra 6657 went to effect. Respondent issued a Notice of Coverage on the undeveloped portions of Antipolo Hills Subdivision. Natalia and EDIC immediately registered its objection to the notice of coverage and requested the cancellation of the Notice of Coverage. Natalia and EDIC both argued that the properties ceased to be agricultural agricultural lands when they were included in the areas reserved by Presidential Proclamation Proclamation for the townsite reservation. DAR then contended that the permits granted were not valid and binding since they did not comply with t he implementing Standards, Standards, Rules and Regulations of PD 957 (The Subdivision and Condominium Buyers Protective Decree), and that there was no valid conversion of the properties. Issue: Whether or not lands not classified for agricultural use, as approved by the Housing and Land Use Regulatory Board and its agencies prior to June 15, 1988 covered by RA 6657. Ruling: No, Sec. 4 of RA 6657 provides that CARL shall cover, regardless of tenurial arrangement and commodity produced, all public and private agricultural agricultural lands. And agricultural lands is referred to as land devoted to agricultural activity and not classified as mineral, forest, residential, commercial or industrial land. Thus, the underdeveloped underdeveloped portions of the Antipolo Hills Subdivision cannot be considered as agricultural agricultural lands for this land was intended for residential use. They ceased to be agricultural agricultural land by virtue of the Presidential Proclamation Proclamation No. 1637.